Use the Information Below for Soho Inc During 2016, Soho Inc

question 21

Multiple Choice

Use the information below for Soho Inc.for 2016 and 2017 to answer the following question. $$\begin{array} { l r } \text { Equipment, December 31,2016 } & \$ 65,000 \\\text { Equipment, December } 31,2017 & 72,000 \\\text { Accumulated depreciation, December 31,2016 } & 39,000 \\\text { Accumulated depreciation, December 31,2017 } & 30,000\end{array}$$ During 2016, Soho Inc.sold equipment with a cost of $30,000 and accumulated depreciation of $25,000.A gain of $3,000 was recognized on the sale of the equipment This was the only equipment sale during the year. What amount would be reported as the cash proceeds from the sale of equipment?

• A) $2,000
• B) $3,000
• C) $5,000
• D) $8,000

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Definitions:

Recency Error

A bias in performance evaluations where more weight is given to recent events or achievements, overlooking the employee's overall performance period.

Motivation

The driving force behind individuals' actions, desires, and needs, influencing their behavior towards achieving certain goals.

Performance Evaluation

The assessment of an employee's job performance over a specific period, used for feedback and development purposes.

Evaluation Interview

A formal meeting between a supervisor and an employee to review the employee's job performance and discuss future goals.